Bank of Italy: in 2016 they return the loans to the private sector – The Republic

Milan – Bank lending to the private sector picks up again in the first half of 2016 thanks to “the exit from the recession.” And ‘the estimate by the Bank of Italy in the report on financial stability, however, that, “if assessed in relation to GDP, the credit remains much below the average long-term.” The worst, however, seems now to the shoulders and “the strengthening of the economy reduces the risks to financial stability” according to the report of the Palazzo Koch, in fact, it points out that “a whole remain favorable indicators of sustainable public finances”.

Banks. The market for bad debts is still struggling, despite the launch of the reform of the bankruptcy law, and to be a catalyst to the formation of the company must be a private vehicle, which is still being discussed with the EU. Secono Bank of Italy, the supply of suffering has been limited in amount even in the first nine months of 2015 (about 2 billion) and carried out by major groups and foreign banks operating in Italy. The total impaired loans (non-performing and other) of Italian banks rose in June to 361 billion, 18% of total loans (2.008 billion) against 17.4% in December 2014. In particular, to 1.646 billion of loans performing contrast 207 billion non-performing and other 155 other loans.

Families. “The increase in disposable income and low interest rates strengthen the financial condition, already solid , of the families. ” In this respect the Bank of Italy says that “it also reduces the vulnerability of the weakest and the debt remains low, despite a strong recovery in the mortgage market.” In particular, “the families who obtained loans
are lightening the burden of debt service through various forms of renegotiation of loans that, in the first nine months, affecting more than 5% of the amount outstanding at the end of 2014 (1.3% in the same period last year). ”

Building. “In a macroeconomic scenario of a recovery, the share of firms financially vulnerable will decline significantly in 2016″ for the Bank of Italy “improve the financial condition of the company is also extending to those fragile “.

Scene. “The international scenario is becoming more uncertain.” Bank of Italy for “the slowdown in China and other emerging economies has an impact on the global growth outlook” and “may result from market pressures.” In the eurozone, however, “it has diminished uncertainty” related to Greece and “the recovery and the extraordinary measures of monetary policy combine to limit the risks.” But “inflation remains very low”, warns the Bank of Italy.

Arguments:

Bank of Italy

Starring: